Question about buying a rental house in Greater Boston Area

[Liu Qi]

Hi BP community. 

I am very new to Boston and I am a newbie in real estate investments. 

I am moving to Boston to work this June. I want to learn more about the real estate market and invest in rental houses in Boston. I have several requirements for the house:

1. Great area to rent our the house

2. Safe neighborhood

3. Easy transportation to work (Better to have Link stations nearby)

4. My budget is probably capped at 600k

Here are my questions:

1. Are there any areas that you recommend I can take a look at (Great to do house rental)?

2. Should I target multi-family or single-family houses?

3. Should I be concerned about the age of houses in Boston? I heard most houses are very old.

4. If the house is old, should I waive any inspection contingency or any contingency?

5. What should I pay attention to specifically when I go to do a house tour?

Sorry, I know there are a lot of questions. Thank you so much for answering!

[Lien Vuong]

Hello and welcome to the BP community. Boston is a large metro so it's hard to really pin point exactly where the best investment would fit your needs and budget but here's a short breakdown to your questions: 

1. Are there any areas that you recommend I can take a look at (Great to do house rental)?

Metro towns around the city with T access - North would be Malden, South is Quincy, and West is Newton
2. Should I target multi-family or single-family houses?

Economies of scale for multis is always the best but given your $600k budget you would likely sacrifice distance and go outside the city for a two fam or stay closer to Boston for a single fam. 

3. Should I be concerned about the age of houses in Boston? I heard most houses are very old.

Most homes are built in 19-1925 in Boston, that's our general housing stock, you have to assess it from property to property to find a house with good bones. 

4. If the house is old, should I waive any inspection contingency or any contingency?

Dependent on home and what you feel is comfortable to waive contingency or not. You should not flatly waive it for every home you buy. 

5. What should I pay attention to specifically when I go to do a house tour?

Home itself - Structural, mechanical, and foundational issues. External - Neighborhood, area, transit, and crime rates. 

Best of luck with your search and welcome to Boston!